At the historic Bird-In-Hand mining claim, where previous mine exploration drilling beneath the old workings by current licence operator Maximus Resources had delineated an inferred remaining gold resource of 53,000 ounces over the depth extent from 100 m to 200 m below the surface, a second phase of deeper drilling was commenced after September 2006. The first two holes of this programme have been subsidised by PIRSA as a collaborative drilling project through the PACE Initiative, with the aim of exploring deeper sub-mine levels around 300-400 m below surface to locate possible further extensions to known Main Lode ore shoots, and to look for a postulated fault repetition of another lode (the 'Back Reef'), on the basis of geological indications seen on the adjoining Ridge mine lease. Drilling progress on the PACE project (2 inclined RC precollared NQ diamond holes totalling 776.9 m) was generally slow and difficult because of the very badly fractured ground and, also, because of caving unconsolidated sandy interbeds (?Cox Sandstone Member) within the upper target horizon, the Tarcowie Siltstone. One drillhole, BH28, had to be wedged off in order to achieve a satisfactory core recovery from the Main Lode section. The Main Lode section was eventually successfully cored, and minor free gold mineralisation was encountered within a series of pyrite-limonite - bearing quartz veins (best results being 0.6 m @ 13.5 g/t Au and 3 m @ 11.9 g/t Au, from the depth interval 264.4-283 m in hole BH24). A 2-metre wide, barren quartz vein within the basal part of the lower target horizon, the Brighton Limestone, which probably represents the continuation of the Ridge mine lode, was intersected in hole BH28 at 362 m depth. Numerous thin dolerite dykes of the Woodside dyke swarm were also cut by both drillholes.